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May 25, 2013

13Ds are filed with the Securities and Exchange Commission within 10 days of an entity's attaining a greater than 5% position in any class of a company's securities. Subsequent changes in holdings or intentions must be reported in amended filings. This material has been extracted from filings released by the SEC from May 16 through May 22, 2013. Source: InsiderScore.com

Activist Filings

Okumus Fund Management disclosed that it now owns 4,926,304 shares (23.4% of the total voting stock) following its purchase of 3,579,204 shares in the span from April 24 through May 9 at prices ranging from $8.26 to $9.12 per share. In its filing, Okumus also revealed that it had acquired 1,347,100 shares in options-related transactions.

Okumus also stated that it believes the company's "financial performance can be improved to create greater value for shareholders," and accordingly has communicated with Vocus management about "the process of recommending two individuals to the board of directors." One of these nominees will be associated with Okumus, the investor said, and the other will be independent.

Omega Advisors disclosed that it now owns 2,759,600 shares (21.6%) after it bought 2,750,000 at $18 apiece on May 9 in the company's initial public offering and an additional 9,600 shares at $19.71 apiece on May 14. Omega did not disclose any plans or proposals in its filing.

Sageview Capital disclosed that it now owns 4,818,611 shares (6.3%) after it bought 2,695,627 from May 9 through May 16 at prices ranging from $8.02 to $8.55 per share. In its filing, Sageview said it has had, and may in the future have, discussions with management and may make suggestions concerning Resolute's "operations, prospects, business and financial strategies, assets and liabilities, business and financing alternatives and other such matters."

Taconic Capital Advisors disclosed that it now owns 12,800,000 shares (6.4%) after it bought 3,100,000 shares from April 3 through May 13 at prices from $15.04 to $17.44 apiece. Taconic also disclosed selling 200,000 shares on April 11 for $17.71 to $17.75 each.

In its filing, Taconic said that it "may engage in communications with relevant parties regarding the Company."

Clinton Group decreased its holdings to 1,376,728 shares (4.8%) after it sold 1,252,314 shares from May 1 through May 17 at prices in a range from $3.75 to $5.72 per share. Clinton also disclosed buying 752,691 shares from April 29 through May 15 at prices of $2.97 to $5.83 each.

Behind the Scenes: Red Mountain considers itself a constructive activist, a long-term investor that holds most companies in its portfolio for at least five years, generally working behind the scenes with management. BBRG is an upscale affordable chain with a proven restaurant concept and room to grow. It has good unit-level economics and significantly fewer restaurants than its closest competitors. It owns all of its restaurants and has grown consistently and with great discipline over the past 10 years. It should continue to grow at a controlled pace, with a pipeline that should drive 50% growth over the next five years.

This isn't likely to be confrontational. Based on its history and philosophy, Red Mountain will likely work to help BBRG execute its consistent, disciplined approach.

-- Kenneth Squire

The 13D Activist Fund, a mutual fund runby an affiliate of the author and not connected to Barron's, has no position in the securities mentioned here. In addition, the author publishes and sells 13D research reports, whose buyers may include representatives of participants in, and targets of, shareholder activism.